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Alibaba reportedly nears $1.5 billion deal to sell its gaming business
Alibaba is close to a $1.5 billion deal to sell its gaming unit, Lingxi Games, to Trustar Capital. Lingxi Games, known for mobile titles like Three Kingdoms Tactics and for operating distribution services, is currently in ongoing negotiations, with no final agreement yet.
Key points
- Alibaba is selling Lingxi Games for over $1.5 billion.
- The buyer is Trustar Capital, a private-equity firm.
- Lingxi Games develops mobile games and provides distribution services.
- Ongoing negotiations indicate that a final deal has yet to be reached.
Why it matters
- This move aligns with the trend of divestitures in the tech industry, where companies are streamlining operations.
- Gaming sector continues to attract investments, highlighting the growth in digital entertainment.
- The sale reflects broader shifts in Alibaba's business strategy amid regulatory pressures in China.
The potential sale of Lingxi Games underscores Alibaba's strategic moves in the gaming sector and reflects larger trends in technology investment and restructuring.